Bipartisan House lawmakers are sponsoring legislation that would establish a tax credit for the domestic production of high-performance rare earth magnets.
Reps. Guy Reschenthaler (R-Pa.), Eric Swalwell (D-Calif.) and several other lawmakers introduced H.R. 1496 last week to amend the Internal Revenue Code of 1986 to create the credit. Reschenthaler is a member of the House GOP’s leadership team.
Reschenthaler and Swalwell have introduced versions of the legislation in the past with little movement. Republicans, however, are looking to address tax issues in upcoming party-line budget reconciliation legislation.
“By encouraging domestic production of rare earth magnets, we’re shoring up our supply chain, protecting national security, and combating climate change,” Swalwell said about the legislation in 2023.
